RWA analysis of Emu Swamp Dam

Some of the headline numbers for Emu Swamp Dam from the RWA have already been covered in earlier blogs, such as the revised project cost of $540 million.  That’s right, more than half a billion dollars.  Against total economic benefits to horticulture and Stanthorpe of $200 million, that’s a very negative benefit cost ratio.

In fact so negative that at the recent RWA meeting (with Mayor Pennisi and Councillor Tancred in attendance, as well as CEO Dave Burges) the RWA put forward two options.

Option 1:  not recommended to proceed based on not being economically or financially viable.

Option 2:  keep investigating to reduce remaining price uncertainties.

I think you all know which one SDRC chose.  No prizes for guessing, yep it was, Option 2.

What might surprise you is the “reasons” given.  SDRC states that Emu Swamp Dam provided better water security than alternative options. 

What might also surprise you is that SDRC suggested that “sleeper and dozer” water entitlements (i.e. ones not currently being used) should be considered as a way to increase the water available to Emu Swamp Dam.  So for those of you out there with an entitlement, watch out, SDRC appears to be advocating for it to be taken away from you.

But back to the issue of water security.  Council as the water provider to residents in the Southern Downs has a legal obligation to ensure a reliable water supply.  This means that where Council knows there is not a reliable water supply (such as in Stanthorpe during drought) it needs to have a contingency water supply or appropriate plans in place.

Council is well aware that the Department of Water has said Emu Swamp Dam does not eliminate the need for carting from Warwick (see the November 2020 presentation to Council here).  So Emu Swamp Dam does not improve water security sufficiently to meet Council’s legal obligations as the water supplier.

A pipeline from Warwick would ensure a drought supply of water.  It would eliminate the need to cart water from Warwick.  And therefore it would mean Council would meet its legal obligations as the water supplier to the town of Stanthorpe.

So when Council (or one of the three gentlemen above, to be more precise) says that Emu Swamp Dam provides “better water security than alternative options”, what they in fact mean is better water security for agriculture.  Because it is clear on the RWA analysis that the pipeline from Warwick provides better water security for the town of Stanthorpe (but more on that in the next blog).

While agriculture is very important to the district, the Council does not have a legal obligation to provide water to irrigators.  It does though have a legal obligation to provide a sufficient and continuous (even in drought) water supply to residents.   

22 September 2023